Mortgage Payment Update November 2020
On 17 November the FCA confirmed guidance for homeowners struggling financially due to coronavirus. The mortgage payment holidays scheme, first announced in March and then extended in May, has been further extended until 31 March 2021.
How does it work?
The FCA has also confirmed that no one should have their home repossessed without their agreement until after 31 January 2021.
Borrowers with an interest-only (or part-and-part mortgages) that matures between 20 March 2020 and 31 October 2021 can delay the repayment of capital until 31 October 2021, providing they continue to make interest payments.
Some lenders have offered tailored support to lenders. Lenders will discuss your individual circumstances to support to customers in a way that reflects the uncertainties and challenges many customers will be experiencing due to coronavirus.
Who to talk to
You should try to maintain your mortgage payments if you can afford to do so. If you want to apply for or extend an existing payment holiday, it is crucial that you speak to your lender. You must not stop making mortgage payments without speaking to your lender first as this could adversely affect your credit.
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE
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